What defines a voidable contract?

A voidable contract is one that is initially valid and may be enforced by either party but can be voided at the discretion of one party. This means that while the contract is legitimate and creates binding obligations, one party has the right to cancel or "void" the contract for specific reasons, such as misrepresentation, undue influence, or lack of capacity.

This characteristic distinguishes it from a void contract, which has no legal effect from the beginning. In a voidable contract, the valid party retains the option to affirm the contract or let it go, hinging on their choice. Thus, defining it as valid unless one party chooses to void it accurately captures the essence of what a voidable contract entails, highlighting its conditional enforceability based on the decision of one of the parties involved.